Volume of services is stable in November, second month with no increase
January 12, 2023 09h00 AM | Last Updated: January 13, 2023 09h45 PM
The services sector was stable (0.0%) from October to November, second consecutive month without increase. The sector stood 10.7% above the pre-pandemic figure, of February 2020, but it is 0.5% below the record reached in September 2022. These data can be found from the Monthly Survey of Services - PMS, released today (12) by the IBGE.
“The result of November can be seen as an instance of deceleration in comparison with the advances registered in previous months. It is worth pointing out that, from March to September, the index recorded a cumulative increase of 5.8%. It is not yet possible to say if we are about to see a change in direction. All in all, it is important to point out that the main bases contributing to the rise of the index to its peak in the time series, information technology and transportation of cargo recorded deceleration in increase,” says the analyst of the survey, Luiz Almeida.
Three of the five activities surveyed recorded decreases in November, mainly information and communication services, which recorded a decrease of 0.7% and lost part of the cumulative gain reached in the July-October period (5.1%).
“The decrease observed in November in the activity was mainly caused by stabilization of the information technology sector, which recorded a decrease of 4.1%, also preceded by four months of consecutive increases and a cumulative hike of 19.4%. Nevertheless, audiovisual services, editing and news agencies had a good performance, with an increase of 8% after a drop of 3.5% in October, mainly driven by audiovisual services,” Mr. Almeida explains.
The second negative impact on the November index came from other services, with a decrease of 2.2%, which counterbalanced the advance of 2.8% observed in October. Services rendered to families accounted for the third main impact, with a decrease of 0.8%, second consecutive result and a cumulative loss of 2.1%.
“The main negative contributions to the sector of other services cam from the activities of post-harvesting and auxiliary financial services. As for services rendered to families, the sectors accounting for the biggest decreases were restaurant and hotels. It is worth mentioning that the sector is still the only one below the pre-pandemic period, being 6.7% below the level in February 2020,” says the researcher.
Transportation, on the other hand, with a change of 0.3%, accounted for the main positive contribution, and interrupted two consecutive periods of decrease, when it had a cumulative loss of 2.0%. The sector of professional, administrative and complementary services changed by 0.2% and recorded slight increase after a drop of 0.9% in October.
“By type of transport, air transportation, with an increase of 3.4%, waterway transportation, with 3.3% of increase, led the rise in the sector. The first type comes from a weak basis due to the significant decrease of 10.1% in the previous month, driven by the rise of fares. The increase in waterway sector resulted, partially, from the exports of agricultural products. Road transportation recorded a slight negative change of 0.1% in November and has a cumulative decrease of 1.7% in the last three months,” says the survey analyst.
In comparison with November 2021, volume of services advanced 6.3% and recorded the 21st consecutive positiive rate, having recorded increase in all the five actitivites, mainly support services to transportation and mailing.
In cumulative terms, from January to November 2022, the rate stood at 8.5%. The cumulative index in 12 months lost dynamism, with a change from 9.0% in October to 8.7% in November 2022. The result of this month is the least intense since October 2021, when it recorded a rate of 8.1%.
By area, 19 of the 27 Federation Units recorded an decrease in volume of services between October and November 2022. São Paulo (-0.5%) accounted for the most relevant negative impact, followed by Mato Grosso (-7.9%), Federal District (-4.0%), Amazonas (-6.7%) and Minas Gerais (-1.0%). On the other hand, Rio de Janeiro (2.2%) was responsible for the main positive contribution, followed by Paraná and Rio Grande do Sul, with an increase of 1.7%.
Tourism activities changed by -0.1% in November
The index of tourism activity fell by 0.1% from October, second consecutive negative result, in a period with a cumulative loss of 2.7%. As a result, the segment is 2.5% below the level of February 2020 (pre-pandemic) and 9.6% below the highest figure in the series, of February 2014.
In regional terms, seven out of 12 places surveyed followed the expansion movement. Pernambuco accounted for the most relevant influence (-7.9%), followed by Bahia (-2.4%) and Santa Catarina (-2.9%). On the other hand, Rio Grande do Sul (7.4%), São Paulo (0.7%) and Paraná (5,3%) accounted for the main advances in regional terms.
More about PMS
The Monthly Survey of Services produces indicators to monitor the short-term behavior of the services sector in Brazil. The survey investigates the gross revenue from services in formal enterprises employing 20 or more persons, in which the main activity is a non-financial service, excluding the areas of health and education. It produces results for Brazil and all the Federation Units. Results are available at Sidra.